FloodFlash research reveals the flood challenge for British businesses
Business properties in Britain are 2x more likely to flood than the average British property
FloodFlash, the parametric insurance technology company that pays catastrophic flood claims within 48 hours, released the 2022 Commercial Risk Report – their most comprehensive view of commercial flood risk to date. The report combines insight from the data partners that contribute to their underwriting as well as bespoke research, polling opinions from UK businesses at risk.
Key findings from the research include:
26.6% of UK commercial properties have at least a low modelled risk (ie. in a 1 in 1,000 year zone) whilst 14.4% of business properties have a significant risk40% of small businesses close for good after catastrophic loss from flooding (Raconteur)The top three sectors at risk are retail (32.5%), manufacturing, wholesaling and logistics (20.7%) and office buildings (11.1%)The data includes insight on the sectors that are most likely to have comprehensive flood insurance. Utility and community services businesses top the list with 83% of decision makers in at risk businesses agreeing they have cover. Agriculture sits at the bottom with just 33% of at risk businesses agreeing they have cover.With 37% of their commercial buildings within a 200 year zone, East Riding of Yorkshire is the most at risk area of Britain from a commercial perspective
The report arrives just a week after Storms Dudley, Eunice and Franklin – all of which arrived in quick succession towards the end of February. FloodFlash managed to pay one client in 5 hours and 36 minutes, a huge achievement that breaks their previous record of 9 hours and 44 minutes set during Storm Christoph in 2021.
The research was released as part of the FloodFlash Commercial Risk Report, an annual report that reveals the threat that flooding poses to UK businesses. FloodFlash Commercial Director Brent Jackson said “The risks that British businesses face are becoming more severe thanks to urbanisation, increased frequency of extreme weather and climate change. It’s important not to use individual weather events as evidence of macro trends, but the fact that we’re releasing this report at a time where the nation is recovering from three named storms is not lost on us.
“It’s so important that British businesses and their brokers understand the risks that they are facing. 236,121 commercial properties are in the 1 in 75 year zone. If you consider that risk throughout a 25 year occupancy – the chance of them flooding in that time is roughly 1 in 3. That’s a huge chance that a business will incur catastrophic losses, and one that we must work together to mitigate, whether that’s through insurance or flood resilience measures.”
To download the FloodFlash report CLICK HERE
If you would like to talk to FloodFlash to find out about their unique flood insurance proposition CLICK HERE, leave a message and youTalk-insurance will pass your enquiry on
